The ADP employment report showed figures below expectations. The increase in private sector employment in August was 374,000, below the 613,000 expected by the market consensus. In July the increase had been 326,000, revised down from the initial estimate of 330,000.
The report highlights that seven million jobs still need to be recovered to reach pre-pandemic levels and that so far this year, job creation is close to four million. Mark Zandi, chief economist at Moody’s Analytics, said the delta variant of COVID appears to have had an impact on the labor market.
The dollar it pulled back in the market following the data, generating a pullback in USD / JPY and pushing EUR / USD and GBP / USD to new highs, above 1.1825 and 1.3760 respectively.
Later on Wednesday the ISM manufacturing activity report will be released. On Thursday it will be the turn of the unemployment benefit requests and on Friday the key data of the week, non-farm payrolls.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
